by Ray Hayes
Do larger enterprises know something that small businesses are unaware of about future technology?
A recent report from IT marketplace Spiceworks shows that large enterprises are adopting emerging technologies at a rate ten times higher than small businesses. One of the many reason why the report indicated that large enterprises are investing so heavily in emerging tech is due to the expected increase in IT budgets in 2019. The outdated infrastructure, and security products are some reasons why IT budgets are increasing.
Other information in the Spiceworks survey included:
- By 2020, 86 percent of companies with more than 5,000 employees plan to adopt Internet of Things (IoT) tools, 65 percent plan to deploy edge computing, 64 percent artificial intelligence (AI), and 56 percent blockchain-enabled technology.
- More than one-third of organizations (37 percent) currently use IT automation, 36 percent use gigabit Wi-Fi networking, and 27 percent use IoT technology, according to the study. By 2020, these figures are expected to jump to 58 percent, 61 percent, and 48 percent, respectively.
Now although small businesses are not investing in tech as much as large enterprises, the main reason behind this is a lack of funding and resources. Small businesses are patiently waiting to see if the emerging tech that is being invested in at large corporations, will have a significant impact for their firm.
Peter Tsai, senior technology analyst at Spiceworks spoke about why small business have chosen to be patient and why large enterprises are not. “Larger companies have more resources and manpower to dedicate towards testing, deploying, and managing emerging technologies. On the other hand, small businesses aren’t increasing IT budgets at the same rate as large enterprises, so they’re focusing their limited resources on more immediate concerns, such as refreshing aging and potentially out-of-support infrastructure, software, and services.”
So as you can see, large enterprises are taking the risk because they have the resources and small businesses are playing it safe and weighing there options.